Ascott Secures Management Contract for Serviced Residence in Jadaf, Dubai
The Ascott Group, a leading international serviced residence company, has secured the management contract from MKM Commercial Holdings, a multi-industry conglomerate for an 84-unit serviced residence in Dubai’s Jadaf area. The contract is for a period of 10 years with an option to renew for another 10 years, subject to agreement from both parties.
Targeted to be launched by the end of first quarter 2006, the property will be a 15-minute drive from the Dubai International Airport, and a 10-minute drive from the Wafi City which is owned by the MKM group of companies. Wafi City is best known for its varied range of shops, restaurants and cafes, spa, and lively nightlife including the Pyramids complex, Cleopatra’s Spa, Pharaohs’ Club, the Planet Hollywood complex as well as the Wafi City Mall – one of Dubai’s most exclusive shopping and dining attractions.
A 5-minute drive from the famous Dubai Creek, a developing watersport recreation belt, the site is also strategically located between Dubai’s old city and the central business district along Sheik Zayed Road.
According to Dubai’s Department of Tourism & Commerce Marketing, there are about 20 hotel apartment properties in Dubai, and the occupancy level is more than 80%.
Ascott’s Chief Executive Officer and Managing Director Mr Cameron Ong said, “The occupancy level for the serviced residence industry in Dubai has been kept at a high of above 80% by the relatively limited number of serviced residences there. The high occupancy level has also been fuelled by sustained demand from long-staying expatriates as well as, regional and international leisure visitors. Therein lies the opportunity for Ascott to plug the gap in the demand and supply chain.”
“With numerous large-scale tourism projects being launched in Dubai, and a relatively limited supply of serviced residence properties, Dubai offers tremendous potential for the hospitality industry. The Ascott Group as the largest international serviced residence owner/operator with more than 15,000 residence units spread over 40 cities and 17 countries in Asia Pacific and Europe, is well poised to gain a foothold in the Middle East market,” added Mr Ong.
When completed, the property will feature studio apartments, as well as one and two bedroom units. To cater to the needs of larger family groups, some of the two bedroom apartments will also be interconnected to form four bedroom apartments to cater to the needs of larger family groups.
The management contract is not expected to have any material impact on the Group’s financial results for the current financial year.
More About MKM Commercial Holdings
Established in 1973 by H.E Sheikh Mana Bin Khalifa Al Maktoum, MKM Commercial Holdings LLC has three main divisions namely; MKM Commercial Services LLC, Wafi Group of Companies and Cleopatra’s Developments Inc BVI.
Through its Wafi Group of Companies, it has several businesses in Dubai, namely property asset management under Wafi Property LLC, hospitality services comprising food and beverage, health and leisure under Wafi Hospitality LLC, manufacturing and industrial services under Wafi Industrial LLC and freight forwarding, shipping, trucking, and car rental, as well as a shipping agency under Wafi Transport LLC.
About The Ascott Group
The Ascott Group is a leading international serviced residence company with 15,000 serviced residence units in the key cities of Europe and Asia Pacific, and the Gulf region.
Ascott's global presence spans 40 cities in 17 countries. These include London, Paris, Brussels, Berlin and Barcelona in Europe; Singapore, Bangkok, Hanoi, Kuala Lumpur, Tokyo, Seoul, Shanghai and Beijing in Asia; as well as Sydney, Melbourne and Auckland in Australia/New Zealand.
Headquartered in Singapore, The Ascott Group pioneered the Asia Pacific's first branded luxury serviced residence in 1984. Today, it boasts a 21-year industry track record and serviced residence brands that enjoy recognition worldwide.
The Group's flagship The Ascott luxury-tier brand projects an elegant lifestyle appealing to top executives. Its Somerset upper-tier brand offers stylish, contemporary living for senior to upper management executives. The Citadines brand provides corporate executives with vibrant urban lifestyle residences.
Recent awards the Group has clinched include TTG Asia Media’s ‘Best Serviced Residence’ award as well as the 2005 Business Traveller ‘Best Serviced Residence Brand’ and ‘Best Serviced Residence property’ in Asia Pacific awards. In 2004, Ascott was also voted top by Business Traveller readers.
The Group has also won the First Position in the 2005 ‘China's Top 100 Serviced Residences’ ranking for its eight properties in China; 2005 Vietnam Economic Times' ‘Best Service in Serviced Apartments’ awards in Hanoi and Ho Chi Minh City; and 2005 Thailand Apartment Living’s ‘Most Innovative Serviced Residence’ award for The Ascott Sathorn in Bangkok. The Ascott in Malaysia was ranked among the top four best employers in Malaysia in a ranking compiled by Hewitt & Associates, a global human resource services firm, in their Best Employer in Asia 2005 study.
Listed on the mainboard of the Singapore Exchange, Ascott is the serviced residence arm of CapitaLand Limited, one of Asia’s largest listed property companies. Headquartered in Singapore, the multinational company's core businesses in property, hospitality and real estate financial services are focused in gateway cities in Asia, Australia and Europe. Its property and hospitality portfolio spans 70 cities in 17 countries.
For reservations on Ascott properties, call Central Reservations on (65) 6272-7272 or visit www.the-ascott.com.